Shikun Ovdim, FAIRE Fund, Yuval-Alon, Ben-Yakar bid for Rubanenko plots in Petah Tikva.

(From Israel Business Arena)

Byline: Elazar Levin

Shikun Ovdim, the FAIRE Fund (First American-Israel Real Estate Fund), Yuval-Alon Building, and the Ben-Yakar family last week offered to buy plots in Petah Tikva and Poland belonging to Shmuel Rubanenko Holdings, which is in financial difficulty. The northern Petah Tikva plots are zoned for construction of hundreds of apartments. The offers are as follows: Shikun Ovdim is offering 25% for apartments marketed at $1,250 per sq.m., 27.5% for those marketed at $1,300 per sq.m., 30% for $1,350-per-sq.m.-apartments, and 32% for $1,400-sq.m.-apartments.

The prices do not include VAT, and will be converted into shekels at NIS 4.67/$. One sq.m. of balcony space will be counted as a third of a sq.m. of main space. Shikun Ovdim is offering nothing for the project entrance and wings. The company will pay for the fees and levies up to $11,000 per apartment, while Shmuel Rubanenko Holdings will pay for the rest, if any. Shmuel Rubanenko Holdings will pay the lawyers' fees. The FAIRE Fund, owned by Israeli, US, and Canadian investors, is offering to buy the unused construction rights in the compound at the low price of $25,000-27,000 per land per apartment. FAIRE believes this price matches the price Shmuel Rubanenko Holdings and Shaked paid for the land. In return for the low price, Shmuel Rubanenko Holdings and Shaked will receive a certain percentage (to be determined in negotiations) of the profits, starting from a yet to be ...